Cisco’s John Chambers: Q4 Will “Continue To Show Weakness” But “We Know What We Have To Do”

John Chambers

[credit provider=”Associated Press”]

Cisco beat Q3 expectations today but shares dipped in after-hours trading on weak guidance.Cisco CEO John Chambers said on the company’s earnings call that Q4 will continue to show weakness.

Cisco’s Q4 guidance came in at $0.37 to $0.39 non-GAAP EPS on $10.8 billion to $11 billion of revenue. That’s well below the Street, which was expecting $0.42 EPS on $11.7 billion of revenue.

Cisco warned that GAAP EPS results will be significantly lower, based on restructuring charges.

Meanwhile, here’s Chambers’ canned quote from the earnings release: “This quarter played out as we expected,” said John Chambers, chairman and CEO, Cisco. “We have acknowledged our challenges. We know what we have to do. We have a clear game plan, and we are a company with a track record of market-shaping innovation. We thank our shareholders, employees, customers and partners as we transition to the next phase of Cisco.”